Senate File 207
SENATE FILE
BY WARNSTADT
(COMPANION TO LSB 2644HH
BY WENDT)
Passed Senate, Date Passed House, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act establishing a school infrastructure assistance program,
2 and making an appropriation.
3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
4 TLSB 2644XS 80
5 rn/cf/24
PAG LIN
1 1 Section 1. NEW SECTION. 256.24 SCHOOL INFRASTRUCTURE
1 2 ASSISTANCE PROGRAM.
1 3 1. The department shall establish a school infrastructure
1 4 assistance program. The purpose of the program shall be to
1 5 provide financial assistance to school districts facing school
1 6 infrastructure needs which are determined to fall below the
1 7 median property tax infrastructure capacity per pupil for the
1 8 state. For the purposes of this section, "school
1 9 infrastructure" means activities initiated on or after July 1,
1 10 2003, as authorized in section 296.1 but does not include
1 11 those activities related to stadiums, bus barns, a home or
1 12 homes of a teacher or superintendent, procuring and improving
1 13 a site for an athletic field, or improving a site already
1 14 owned for an athletic field.
1 15 2. A school district shall be eligible to participate in
1 16 the school infrastructure assistance program if the school
1 17 district has imposed a local sales and services tax for school
1 18 infrastructure pursuant to chapter 422E which is in effect on
1 19 the program application date, and the district's property tax
1 20 infrastructure capacity per pupil, as defined in section
1 21 292.1, falls below the median property tax infrastructure
1 22 capacity per pupil calculated for each school district in the
1 23 state. A school district with a combined tax capacity, as
1 24 determined pursuant to subsection 3, which equals or exceeds
1 25 the median property tax infrastructure capacity per pupil for
1 26 the state shall not be eligible for assistance pursuant to
1 27 this section.
1 28 3. In order to determine the amount of funding an eligible
1 29 school district may receive, the department shall determine a
1 30 combined tax capacity for each school district in the state.
1 31 The combined tax capacity shall equal the district's property
1 32 tax infrastructure capacity per pupil plus the per pupil
1 33 amount generated in the district by the local sales and
1 34 services tax for school infrastructure. An eligible school
1 35 district may receive an amount up to that amount necessary to
2 1 raise the district's combined tax capacity up to the median
2 2 property tax infrastructure capacity per pupil for the state.
2 3 4. A school district wishing to participate in the school
2 4 infrastructure assistance program shall submit an application
2 5 to the department on a form developed by the department by
2 6 October 15 annually. In the event that the amount
2 7 appropriated annually to fund the program pursuant to section
2 8 256.25 is insufficient to raise all eligible applicant school
2 9 districts up to the median property tax infrastructure
2 10 capacity for the state, the department shall prorate
2 11 allocations from the fund to all eligible applicant school
2 12 districts.
2 13 Sec. 2. NEW SECTION. 256.25 SCHOOL INFRASTRUCTURE
2 14 ASSISTANCE PROGRAM == APPROPRIATION.
2 15 Each school district whose combined tax capacity, as
2 16 determined pursuant to section 256.24, subsection 3, exceeds
2 17 the median property tax infrastructure capacity per pupil for
2 18 the state shall be identified.
2 19 For each school district identified, an amount shall be
2 20 subtracted from the amount which would otherwise be paid to
2 21 the school district pursuant to section 257.16. The amount
2 22 subtracted shall correspond to the proportion by which the
2 23 amount of the excess for the school district bears to the
2 24 total amount of the excess for all school districts in the
2 25 state which exceed the median property tax infrastructure
2 26 capacity per pupil, which total amount is necessary to provide
2 27 funding to bring all school districts up to the median
2 28 property tax infrastructure capacity per pupil for the state.
2 29 The amounts subtracted for each school district exceeding
2 30 the median property tax infrastructure capacity per pupil are
2 31 appropriated to the department for allocation to those school
2 32 districts participating in the school infrastructure
2 33 assistance program pursuant to section 256.24.
2 34 EXPLANATION
2 35 This bill provides for the creation of a school
3 1 infrastructure assistance program to be administered by the
3 2 department of education. The bill provides that the purpose
3 3 of the program shall be to supply financial assistance to
3 4 school districts facing school infrastructure needs which are
3 5 determined to fall below the median property tax
3 6 infrastructure capacity per pupil for the state. The bill
3 7 references Code section 296.1 regarding a definition of
3 8 "school infrastructure" for activities initiated on or after
3 9 July 1, 2003, but provides that school infrastructure shall
3 10 not include activities related to stadiums, bus barns, a home
3 11 or homes of a teacher or superintendent, procuring and
3 12 improving a site for an athletic field, or improving a site
3 13 already owned for an athletic field.
3 14 The bill provides that a school district shall be eligible
3 15 to participate in the school infrastructure assistance program
3 16 if the district has imposed a local sales and services tax for
3 17 school infrastructure which is in effect on the program
3 18 application date, and if the district's property tax
3 19 infrastructure capacity per pupil, as determined pursuant to
3 20 Code section 292.1, subsection 7, falls below the median
3 21 property tax infrastructure capacity per pupil calculated for
3 22 all school districts in the state. Code section 292.1,
3 23 subsection 7, provides that a school district's property tax
3 24 infrastructure capacity per pupil equals the sum of a school
3 25 district's levies under Code sections 298.2 and 298.18 if
3 26 imposed to the maximum extent permissible in a school budget
3 27 year, divided by a school district's basic enrollment for the
3 28 budget year.
3 29 The bill provides that to determine the amount of funding
3 30 which an eligible school district may receive, the department
3 31 shall determine a combined tax capacity for each school
3 32 district in the state. The bill provides that the combined
3 33 tax capacity shall equal a district's property tax
3 34 infrastructure capacity per pupil plus the per pupil amount
3 35 generated in the district by the local sales and services tax
4 1 for school infrastructure. The bill provides that an eligible
4 2 school district may receive an amount up to that necessary to
4 3 raise the district's combined tax capacity up to the median
4 4 property tax infrastructure capacity per pupil for the state.
4 5 The bill provides that a school district wishing to
4 6 participate in the school infrastructure assistance program
4 7 shall submit an application to the department on a form
4 8 developed by the department by October 15 annually, and
4 9 provides for proration of amounts appropriated for the program
4 10 in the event such amounts are insufficient to fully fund
4 11 allocations to all eligible applicant school districts. The
4 12 bill further provides that a school district with a combined
4 13 tax capacity which equals or exceeds the median property tax
4 14 infrastructure capacity per pupil for the state shall not be
4 15 eligible for assistance pursuant to the program.
4 16 The bill provides an annual appropriation to fund the
4 17 program from the general fund of the state to the department
4 18 of education corresponding to a proportionate reduction in
4 19 state aid otherwise payable to school districts having imposed
4 20 the local sales and services tax for school infrastructure
4 21 with a combined tax capacity exceeding the median property tax
4 22 infrastructure capacity per pupil for the state.
4 23 LSB 2644XS 80
4 24 rn/cf/24